US Ethanol Production Leads Brazil to Double Corn Exports

Brazil expands corn production

Brazil expands corn production Brazil should double foreign sales of corn in this crop to eight million tons. In the previous crop, exports totaled four million tons. This information was supplied by the general coordinator of Grain and Annual Cultures at Brazil's Ministry of Agriculture, Livestock and Supply, SÀ­lvio Farnese.

According to Farnese, the increase in the United States production of ethanol, which is made from corn, is one of the reasons for greater sales. "There has been an increase in the price of corn due to greater demand for corn in the US, which may grant Brazil a greater market share," he said.

A study by the National Food Supply Company (Conab) revealed that the area on which corn is cultivated is 13.4 million hectares, which corresponds to the production of 48.8 million tons, 14.7% greater than the previous harvest.

According to Farnese the expansion in the cultivated area may be credited to the price of the product. Climate conditions, in turn, contributed to the growth of production.

Estimates by Brazil's National Food Supply Company (Conab), a state-owned organization in charge of supervising and regulating agricultural production in the country. indicate that Brazilian farmers should produce 126 million tons of grain in the 2006-2007 crop, 

If Conab's projection proves true, then Brazilian agricultural production will break the record established by the 2002-2003 crop. The production for the current crop might be 3% higher than in the last record high.

Soy, corn and cotton are the products for which production should increase the most, according to the forecast of Conab. Brazilian soy production is expected to reach 56 million tons – a 5% increase compared with the previous crop. Corn production should increase 13% to reach 48 million tons.

The Conab survey is conducted in 280 municipalities in southern and midwestern Brazil, and in the northeastern states of Bahia, Rondônia, Pará, Tocantins, Maranhão and Piauí­. A total of 47 technicians of Conab conducted 1,440 interviews with farmers to estimate the volume of agricultural production.


  • Show Comments (4)

  • Kwaku

    Animal Feed Yellow Corn in 50 KG. Bags CIF Tema, Ghana,West Africa
    A friend has been looking for this commodity for the first time outside Ghana. Can any one help.

  • aes

    Grow corn in Northern Hemisphere weather.
    At todays prices and the fact that Brazil can produce corn when the season is over in the U.S.
    Brazil would be advised to produce 1,000,000 acres of corn as an ancillary crop. Between corn and ethanol Brazil is an agonomic giant to be reckoned with.

  • conceicao

    Even I doubt that Commandante Kirchner a/k/a Comrade Deadbeat is so hypocritical that he
    would oppose debt cancellation for these countries. He probably owes money to most of them.

  • alltheway

    povety to be cut in half in central america ?
    $4.4bn debt relief for L America
    By Duncan Kennedy
    BBC Central America correspondent

    Bolivia is one of the poorest nations in the region
    Five of the poorest countries in Latin America and the Caribbean are to have their national debts cancelled by the Inter-American Development Bank (IDB).

    Bolivia, Guyana, Haiti, Honduras and Nicaragua owe a total of more than $4bn (À‚£2bn).

    The debt relief initiative is part of the IDB’s goal to cut poverty in half in Latin America by 2015.

    Some pressure groups have called for more measures to help these nations improve education and health systems.

    ‘Fresh start’

    The draining burden of debt has immobilised the ambitions of the region’s poorest nations for years.

    But now the IDB is to write off a total of $4.4bn (À‚£2.3bn).

    Honduras and Bolivia alone are at least $1bn (À‚£500m) in debt to the bank.

    Speaking in Guatemala City ahead of the bank’s annual meeting, its president, Luis Alberto Moreno, described the move as an historic opportunity that will give these countries what he called a fresh start.

    The bank will also provide additional funding for other countries – including Ecuador, Paraguay and El Salvador – to enable them to free up resources for education and health care.

    ‘Failed policies’

    There had been suggestions that some of the bank’s larger member states like Mexico, Brazil and Argentina had resisted the move to cancel debt – but that has now being played down.

    Yet some groups have urged the bank to do more.

    The Washington-based Food and Water Watch called on it to abandon what it described as failed policies such as the privatisation of water utilities.

    Others, like the organisation Amazon Watch, want the bank to be more cautious in its investments, which they claim could harm the environment.

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